Question: Exercise 19.7 THEORETICAL EX-RIGHTS VALUE Kenny Ltd has 30 000 ordinary shares on issue. The company announced a one-for-three rights issue with an

Exercise 19.7 ★ ★ THEORETICAL EX-RIGHTS VALUE Kenny Ltd has 30 000 ordinary shares on issue. The company announced a one-for-three rights issue with an exercise price of $4 for each right. The market price of one ordinary share immediately before the exercise of the rights was $6. Required Determine the theoretical ex-rights value per share.

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